Time to Push the Reset Button!

Time to Push the Reset Button!

It is safe to say that there are conflicting reports coming from the media on a daily basis regarding the real estate market.  The truth is that the housing market is  definitely turning around.  Why? Because there is a shortage of homes that are available for sale combined with the fact that most builders stopped building when it became evident the economy was on a downward slide. The result of the shortage is that buyers are now competing with each other, many losing out to a better offer if the home is in a good location, priced right and shows well.

Here on the Central Coast of CA, we  have been experiencing this shortage ot inventory since January. What I didn't expect to find, however, was that after attending an event hosting 200 top Realtors across the country this week, almost every Realtor I met reported the same conditions in their area!

Low interest rates are fueling this new surge of buyers coming on the market as economists and lender predict a rise in rates at some point. 

It's important to know that things have not returned to the old normal.  A lot has happened over the past few years and it is important that you discuss your particular situation with a trusted real estate advisor.

The world is not changing.  It has changed already! If  you are waiting for things to go back to normal, you will miss the boat waiting for something that likely will not happen.   As usual, some change is good and some not so good. If we want to move forward with our lives, one thing is sure that a certain level of acceptance of the facts is necessary to operate in the new world we live in! 

Nancy Puder is the owner and broker of Signature Properties, a prestigious real estate sales and property management firm in Arroyo Grande, CA.  You may reach her at 805.710.2415 or email Nancy@NancyPuder.com. Website: www.SignatureProperties1.com. We always enjoy hearing from you!

Beware of Mortgage Scams

Beware of Mortgage Scams

If someone, even an attorney, has made you a promise or guaranteed mortgage relief and asked for money up-front,  my advice is not to do it.

Mortgage fraud reports have shown an increase from more than 6,900 in 2003 to more than 93,500 in 2011, according to the FBI.  The nonprofit Homeownership Preservation Foundation reported the number of mortgage foreclosure scams has shot up 60 percent so far in 2012.

In response, the California Association of Realtors (CAR) is educating homeowners and warning consumers they are at risk of being scammed by third parties, such as those that promise loan modifications for an up-front fee, which is illegal. 

Many so-called foreclosure rescue companies or foreclosure assistance firms review foreclosure notices in newspapers, the Internet, and public files to identify potential victims.  They then ask for money up-front and claim they can help homeowners save their home.  Some are bold enough to offer a money-back guarantee.  However, the scammers simply take the homeowners’ money, often leaving them in worse circumstances than before.

Consumers should NEVER pay money up-front for services promised. Instead, get a referral to a free HUD-approved housing counselor to advise on loan modifications, short sales, and other alternatives for avoiding foreclosure by calling (888) 995-HOPE. http://www.995hope.org.

To learn more about loan fraud,  go to the California Association of Realtors website and watch videos in Spanish, English and other languages. http://www.car.org/aboutus/forconsumers/loanfraud/

Nancy Puder is the owner and broker of Signature Properties, a prestigious real estate sales and property management firm in Arroyo Grande, CA.  You may reach her at 805.710.2415 or email Nancy@NancyPuder.com. Website: www.SignatureProperties1.com. We always enjoy hearing from you!

Is It Safe to Sell Now?

Is it Safe to Sell Now?

Yes, it is safe to sell now and the market is definitely improving!  Most homes that are listed for sale on the Central Coast are being sold, contrary to what you may be hearing from other sources.

The inventory of homes currently for sale is low and we are frequently experiencing multiple offer situations.  Sellers are no longer having to compete to the same degree with foreclosures as they have had to over the past few years.  One reason is that many buyers are tired of looking at distressed properties that are in disgusting condition, while searching for the best deal.

In addition, more sellers are abandoning the notion that property prices will return to where they were anytime soon and the ones that are pricing their homes at current market value are selling.

You can be sure that we will continue to see foreclosures and short sales over the next year or so, but regular sales are definitely on the rise.  One word of advice is to be sure to get your home priced right the first time.  If you wait too long to price it right, you will probably end up getting less later as buyers will often slash the price of their offers if they feel it has been on the market too long.

Nancy Puder is the owner and broker of Signature Properties, a prestigious real estate sales and property management firm in Arroyo Grande, CA.  You may reach her at 805.710.2415 or email Nancy@NancyPuder.com. Website: www.SignatureProperties1.com. We always enjoy hearing from you!

Freddie Mac Reports a Market Revival

Spring is finally here!

If we take the time to look, we see signs everywhere that represent a new beginning and hope of things to come. Whether we are experiencing it in our gardens or just driving along our beautiful Coast, we see signs of life appearing everywhere. I think it's timely, that now we are seeing the green sprouts of recovery in our housing market.

A major player in the finance world, Freddie Mac, released a report in March that shows signs the housing market is awakening from its depression-like condition of the past few years and beginning to slowly make a recovery. The report also showed that stronger economic growth this
year should translate into a reduction in the unemployment rate to below 8.3
percent.

This is great news whether you are in the housing market or not. You won't have to look hard,
though, to find someone who will contradict this important information. I call them the "yes, but" people. They are the ones who will always find a reason not to have hope. Spring has sprung! Enjoy the season and it's promise of all things new.

Nancy Puder is the owner and broker of Signature Properties, a prestigious real estate sales and property management firm in Arroyo Grande, CA. Nancy is endorsed as a trusted Realtor by Dave Ramsey, well known speaker and author. You may reach her at 805.710.2415 or email Nancy@NancyPuder.com. Website: www.SignatureProperties1.com. We always enjoy hearing from you.

Sales Up Foreclosures Down

The past two months of home sales are at the highest levels in 5 years if you don't count the temporary spikes we had when the government was offering tax incentives in 2009 and 2010.
I find it interesting to see that vacation home sales have surged along with investment sales. In close to half of these sales, buyers have paid with all cash. Foreclosure sales are finally down a bit, and all signs are indicating that the housing economy is on the move to recovery. The report from NAR on vacation home sales is good news for homeowners on the Central Coast. I think we all know that many vacation home buyers will seek to buy in our area as it is still one of the most
beautiful areas in the world to live. Savvy investors are snatching up the most competitively priced homes, causing a bit of a buying frenzy in certain price ranges.

How this will affect your particular situation? If you are thinking about buying, you should realize that the deals are disappearing fast. When you find the home you want, don't be surprised if there are several offers on it at the same time. Be prepared to possibly pay over the asking price if it is priced particularly low. This has become a common scenario.

If you are selling your home, be encouraged because if sales remain strong, you will have a much better chance of getting your price this year, than last year. With foreclosure activity finally easing a bit, hopefully, we will see more regular sales, therefore making the playing field a little more even and "fair" for the average seller. My advice is to contact a professional to determine what your property would sell for in today 's market and be sure to ask them what your net
proceeds will be after the costs of sale.

Nancy Puder is the owner and broker of Signature Properties, a prestigious real estate sales and property management firm in Arroyo Grande, CA. Nancy is endorsed as a trusted Realtor by Dave Ramsey, well known speaker and author. You may reach her at 805.710.2415 or email Nancy@NancyPuder.com. Website: http://www.signatureproperties1.com/. We always enjoy hearing from you!

Remodels That Decrease Value

It is true that your home is your castle and you can do whatever you like to it to make it perfect for you. Don't be surprised, however, when you go to sell, if buyers don't feel the same passion for your home that you do. Some of the most common remodeling that will either deter most buyers are:

Swimming pools - In the beach areas of of the central coast of California, for instance, most buyers are not looking for a pool since the climate is so mild. Most buyers purchasing along the coast from Ventura to SLO consider a pool costly to maintain and unnecessary. Drive 25 miles north, and it is considered an asset because the average air temperature rises significantly. Converted Garages - Yes, your idea of a conversion to a man-cave or pool room is very cool and may provide you with much enjoyment, but when it comes to sell, most buyers, although admiring what you have done of course, will opt out and buy a home that has a regular garage where they canpark their cars and store their items. Designer colors - You deserve to express your lifestyle in anyway you want inside your home. I have seen some beautiful color combinations and then some that would only be considered beautiful to the present homeowner. Keep in mind that when it is time to sell, it is quite possible that the average buyer is going to factor in the cost of repainting. That factoring usually translates into 3-4 times more than it would cost for you to paint with a neutral color scheme before putting your home on the market.

Landscaping - Too little and too much can work against you when it comes time to sell. It really takes very little to make your landscaping appealing. If you are unsure in this area, pay a few extra dollars to have someone come in who has a creative eye and who will respect your budget. It can make a huge impact on how quickly you sell and also your sales price. Having too much landscaping can also deter buyers. I have been in many homes where the seller spends hours each week in the garden in addition to the gardener who does the mowing and trimming. Yes, the home is lovely, but you may be disappointed when buyers visit your home and gasp with delight, but never make an offer. Many buyers are intimidated by the potential upkeep and translate it into a virtual wasteland in their minds. Many buyers don't have the time, know-how or desire to spend the energy necessary to keep it up.

My advice before you spend thousands of dollars on a remodel is to consult with a real estate professional and get some sound advice. Remember, it is your home and you can and should make it as wonderful for you as you want. Just be sure to factor in how your remodel may affect the sales price when selling.

Nancy Puder is the owner and broker of Signature Properties, a distinguished real estate firm on the Central Coast of California. You may contact her at (805)710-2415 or email Nancy@NancyPuder.com

Buy Now...Mortgage Fees Go Up in April

Buyers are purchasing now to beat the April deadline for increased mortgage fees on Fannie Mae and Freddie Mac backed loans. Currently 90% of new home loans are guaranteed by these two government controlled mortgage buyers.

Although interest rates will remain low for some time according to the latest reports, sometimes the fees can make a big difference in the amount of cash required to close an escrow. My recommendation is that if you are on the fence, this is a good time to jump off and do something now.

My observation and comments about the real estate market gradually turning around was confirmed this week as information released by NAR showed that home sales rose 2% in January of this year. This means that the number of signed contracts in January is the highest it has been in 2 years. Although this recovery is and will continue to be slow, I think we can all agree that it is nice to be pointing in the right direction at last.

Activity in our local CA Central Coast market is already showing a shortage of lower priced homes with many properties receiving 5 or 6 offers on the same day. Buyers who thought they were making s good offer are losing out on the deals because someone else is coming along and making a better offer, often at the asking price and sometimes even higher when a bidding war breaks out. Yes, techically, it is still a buyer's market, however, we can't ignore the facts. This type of situation is typical before prices begin to rise upward.

The truth is that If the property is priced right and marketed properly, it is going to sell in today's market. Don't let anyone tell you that nothing is selling because that is simply not true. My advice is to get your information from a good reliable source and don't depend on the opinion of your neighbor, fellow worker and especially the news channels to make your most important financial decisions. I know that sounds elementary, but that is exactly what I find most people do.

I have found that thr biggest enemy of success is fear of risk and ultimately failure. Don't let the fear monster hold you back! Knowledge is power and you may be surprised that when you connect with a true professional and get good sound advice and create a plan, how easy it becomes to fulfill your dreams and accomplish your goals.

Nancy Puder is the owner and broker of Signature Properties, a prestigious real estate sales and property management firm in Arroyo Grande, CA. You may reach her at 805.710.2415 or email Nancy@NancyPuder.com. Website: http://www.signatureproperties1.com/. We always enjoy hearing from you!